GBP/USD – 1H – SELLThe combination British Pound/US Dollar (GBP/USD) jumps from the descending trendline down.
A continuation of the downward movement down to the next support at 1.25010 is expected.
Caution: A possible reversal of the trend in the direction of the resistance level at 1.25743 could occur.
In case of a trade, appropriate stop-loss settings should be considered.
Moreover a ‘Bearish Engulfing’ candle pattern is detected. The chart shows ‘Bearish Engulfing’. which is a negative pattern signal. The currency pair is likely to go down. According to the Encyclopedia of Candlestick Charts by Thomas N. Bulkowski, the probability of ‘Bearish Engulfing’ heading down is 79%.
| Support & Resistance | Price Range* |
|---|---|
| 3rd High | 1.26666 |
| 2nd High | 1.26136 |
| Next High | 1.25743 |
| Current Price | 1.25223 |
| Next Low | 1.25010 |
| 2nd Low | 1.24744 |
| 3rd Low |
Trading Signals: FOREX – GBP – GBP/USD – USD – Bearish Engulfing